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Pernod Ricard and Brown-Forman in Merger Talks, Potentially Combining Absolut Vodka with Jack Daniel's

Economy & businessEconomy
Key Points
  • Pernod Ricard and Brown-Forman are in discussions about a possible merger that would combine Absolut Vodka with Jack Daniel's and other major spirits brands.
  • The companies confirmed the talks in a press release after initial reports by Bloomberg, according to Swedish media sources.
  • Market reaction was mixed with Brown-Forman's stock rising 10% while Pernod Ricard's shares initially fell 6% on the news.

French spirits maker Pernod Ricard is reportedly in discussions with Brown-Forman, owner of Jack Daniel's, about a possible merger that would create one of the world's largest spirits conglomerates. According to Swedish media reports, the companies confirmed the talks in a press release after Bloomberg initially reported on a potential acquisition. A successful deal would combine Pernod Ricard's portfolio including Absolut Vodka, Martell cognac, and Jameson whiskey with Brown-Forman's whiskey brands led by Jack Daniel's.

The market reacted with mixed sentiment to the news, with Brown-Forman's stock rising 10 percent in New York trading while Pernod Ricard's shares initially fell 6 percent on the Paris exchange. The discussions represent a potential major consolidation in the global spirits industry, bringing together some of the most recognizable brands in vodka, whiskey, and cognac under one corporate umbrella.

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